Question: Chapter 6 125 points) Question 1. [3 points) What is the present value of $1,000 per year, at a discount rate of 10 percent, if

Chapter 6 125 points) Question 1. [3 points) What is the present value of $1,000 per year, at a discount rate of 10 percent, if the first payment is received 9 years from now and the last payment is received 28 years from now? Answer: Justify your answer: Question 2. [3 points] ABC Co. wants to sell you an annuity that will pay you $500 per quarter for 20 years. You want to earn a minimum rate of return of 5.1 percent. What is the most you are willing to pay today to buy this annuity? Answer: Justify your

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